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1. If you had a mortgage with a teaser rate
2. And if it was on your own home (and not an investment property)
3. And if you are still in the teaser rate period
4. And if you are able to pay it
5. And if (by some unknown standard) you are not able to pay the bumped up rate
6. And if your bump-up doesn’t happen before the legislation to save you is enacted
..then…
7. You may be able to continue at your current payment/interest rate.

I wonder how long it will take someone to get a court injunction stopping this process until their suit is resolved?
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The agreement, to be formally announced on Thursday by President Bush, is expected to include numerous limitations that would exclude many – if not most – subprime borrowers, according to industry executives who have seen it. It would exclude those who are delinquent on their payments – about 22 percent of all subprime borrowers, according to First American Loan Performance, an industry research firm.

The plan is also expected to exclude any borrower whose introductory rate expires before Jan. 1. About $57 billion in subprime loans are scheduled to be “re-set” at higher rates in the final three months of this year, , according to estimates by Loan Performance, an industry research firm. .

Mortgage companies could also exclude borrowers whom they conclude are making enough money to afford higher monthly payments. Barclays Capital – extrapolating from a similar program recently unveiled in California – estimates that only about 12 percent of all subprime borrowers, or 240,000 homeowners, would get relief.

“From what I’ve heard, I don’t see anything that leads me to believe we will see an increase in loan modifications,” said Eric Halperin, Washington director of the Center for Responsible Lending, a nonprofit group that has studied the subprime problem extensively.